Regulatory Alerts2022-12-30 | NSP-54Added · Updated
Technical Standards for the Deposit and Custody of Securities for the Pension System
The Committee of Standards of the Central Reserve Bank of El Salvador issued these standards to regulate the custody of securities for Pension Fund Administrators (AFPs) and Deposit and Custody Companies. The rules mandate that AFPs maintain pension fund securities exclusively with specialized, registered custodians, prohibiting the use of fund assets for guarantees or lending. Foreign custodians must demonstrate at least fifteen years of experience and hold specific international risk classifications. Additionally, the document establishes strict requirements for custody contracts, including mandatory Superintendence approval prior to signing and obligations for real-time data access and daily reporting.
Topics
safeguarding
securities
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